Monday, July 19, 2010

Corn Prices Plunge on Favorable Weather Forecasts

It was make or break for corn in the Midwest, specifically in the western and eastern parts of the region, as the corn was either going to be punished hard by the hot, dry weather, or it needed rain to save it.

The latest forecasts show the weather should be coming to the rescue, and consequently corn prices plunged on the news.

Both elements that were needed to give corn a chance, and wetter and cooler weather is on the way, and it will result in a solid harvest, assuming the forecasts are accurate.

Corn for December delivery dropped 3.3 percent, or 13.25 cents, to settle at $3.94 a bushel. That is corn that is still in the field and expected to be harvest in the fall.

Already harvested corn for September delivery fell the same amount, 13.25 cents, to $3.815 a bushel, or a decline of 3.4 percent.

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